What are the defenses for BAH Fraud?
The Short Answer: Confusion is Not a Crime.
You are likely being charged with Larceny (Article 121), but did you actually intend to steal?
The core defense against BAH Fraud is attacking the element of Criminal Intent. The Joint Travel Regulations (JTR) are thousands of pages long and change constantly. Finance clerks often give wrong advice. If you made a mistake because the rules were unclear or you were misinformed, you should be facing a debt collection, not a federal prison sentence.
The “Finance Office” Defense
In many of the cases we defend at Gonzalez & Waddington, the client did exactly what the Finance Office told them to do.
For example, you might have been told you could keep your family in New York (high BAH) while you were transferred to Texas (low BAH) due to a deployment or school. Years later, an auditor decides this was wrong and charges you with fraud.
Our Strategy: We aggressively investigate the “Official Advice” you received. We argue “Mistake of Fact”—that you honestly believed you were entitled to the money. If you didn’t have the intent to deceive, you cannot be found guilty of fraud.
The Data: The Complexity of the JTR
The Joint Travel Regulations (JTR) is the “bible” for allowances. However, it is so complex that even the experts get it wrong. Investigators (CID/NCIS) often do not understand the JTR themselves. They simply look at “Address A” vs. “Address B” and assume you are lying. We bring in regulatory experts to show that your specific situation might actually have been permitted, or at least ambiguous enough to create Reasonable Doubt.
Common BAH Fraud Scenarios & Defenses
Identify which scenario applies to your case to understand the defense angle.
| Scenario | The Accusation | Potential Defense |
|---|---|---|
| The “Geo-Bachelor” | You claimed BAH for your family’s location, but the military says you should have claimed your duty station. | JTR Waivers: Prove that you had a waiver or authorization (verbal or written) to maintain two households. |
| Sham Marriage | You married a friend just to get out of the barracks and split the money. | Validity of Marriage: If the marriage was legal on paper, the military has a hard time proving it was “fake” unless you confessed. |
| Divorce Lag | You got divorced but kept collecting “With Dependents” rate for months. | Administrative Delay: Proving that you submitted the paperwork, but Finance was slow to process it. |
Frequently Asked Questions (FAQ)
Q: They are offering me an Article 15 and to just pay the money back. Should I take it?
A: Maybe. This is a complex calculation. If the amount is small, an Article 15 saves your career from a federal conviction. However, accepting the Article 15 means you are admitting you did it. If the amount is over $10,000, they might push for a Court-Martial anyway. You need a lawyer to negotiate this.
Q: My ex-wife reported me. Will they believe her?
A: This is the most common source of BAH investigations: a bitter ex-spouse. We attack the credibility of the source. If the accuser has a motive to lie (custody battle, revenge), we ensure the jury knows that bias.
Q: Can I go to jail for this?
A: Yes. Larceny of military funds is taken very seriously. We have seen prosecutors ask for 5+ years in prison for high-dollar BAH fraud cases to “make an example” out of the accused. You cannot rely on your rank to save you.
Don’t Let a Clerical Error Make You a Felon
We have saved service members millions of dollars in restitution and decades of prison time.
Gonzalez & Waddington understands the JTR better than the prosecutors do. Let us audit your case.
